PARAS NATH SINGHversusSTATE OF BIHAR & ORS.
- Citation
- 2009 INSC 574
- Decided
- 21 April 2009
- Disposal
- Case Partly allowed
- Bench
- TARUN CHATTERJEE
Holding
The Supreme Court held that, in the absence of fraud and given the employee's illiteracy and modest amount, the salary already paid shall not be recovered, and any amount already deducted shall not be returned to the employee.
Summary
Paras Nath Singh, a Class IV employee of the Bihar Department of Planning and Development, was given a provisional First Time Bound Promotion in 1995, which was cancelled after about ten years. The State directed recovery of Rs.1,01,529.50 from his salary, alleging he had undertaken to refund the amount if the promotion was cancelled. Singh challenged the recovery, arguing that as an almost illiterate employee he did not understand the implications of the undertaking and that no fraud or misrepresentation was involved. The High Court dismissed his petition, but the Supreme Court set aside that judgment, holding that a lenient approach is warranted given his position and the modest amount involved. The Court ordered that the amount already paid to Singh by the State shall not be recovered, and any amount already deducted from his salary shall not be returned to him, thereby partly allowing the appeal.
Issues considered
- Whether a provisional First Time Bound Promotion can be cancelled after ten years and the employee be required to refund the salary received thereafter.
- Whether an illiterate Class IV employee can be held liable for an undertaking given without full understanding of its implications.
- Whether the State is entitled to recover the amount received by the employee in the absence of fraud or misrepresentation.
Subjects
Judgment
[2009] 6 S.C.R. 791
PARAS NATH SINGH A
v.
STATE OF BIHAR & ORS.
(Civil Appeal No.2671 of 2009)
APRIL 21, 2009
8
[TARUN CHATIERJEE AND V.S.
,,,
SIRPURKAR, JJ.]
SERVICE LAW:
Promotion - Provisional First Time Bound Promotion - c
Cancellation of after 10 years - Orders for recovery from
salary of employee - Held: Employee being almost illiterate
and belonging to Class IV, did not know implication of giving
the undertaking-Amount not to be recovered, but the amount
• already recovered not to be paid back to employee. D
The appellant, who was promoted from a Class IV
post, was granted provisional First Time Bound
Promotion, but the same was cancelled after 10 years and
the consequential amount received by him was directed
to be recovered. The employee having failed before the E
High Court filed the appeal.
Allowing the appeal in part, the Court
HELD: The fact that the appellant was only a Class
F
IV employee and almost an illiterate person; he did not
know the implications of giving the undertaking at the
time of provisional First Time Bound Promotion. In the
absence of any fraud and misrepresentation attributed to
• " the appellant, and the amount being not so excessive, in
particular, Rs.1,01,529.50 only, out of which certain G
amount has already been recovered from the salary of the
appellant, a lenient view should be taken and the amount
already paid to the appellant shall not be recovered.
791 H
792 SUPREME COURT REPORTS [2009] 6 S.C.R.
A However, the amount already recovered, shall not be paid
back to the appellant [Para 6 and 7] [793-D··F]
CIVIL APPELLATE JURISDICTION : Civil Appeal No.
2671 of 2009.
B From the Judgment & Order dated 21.02.2007 of the High
Court of Judicature at Patna in LP.A. No. 692 of 2006.
M.P. Jha, Raroekbal Roy and Harshvardhan Jha for the
Appellant(s).
c Gopal Singh and Manish Kumar for the Respondent(s).
The. Judgment of the Court was delivered by
TARUN CHATIERJEE, J. 1. Leave granted.
D
2. The appellant was appointed on the post of Orderly in ..
the Department of Planning and Development in the State of
Bihar and he has since retired. In 1972, more precisely on 29th
of August, 1972, the appellant was promoted to the post of
Machine Boy and subsequent to such promotion, he was made
E Routine Clerk on 13th of June, 1974 and was allowed to function
as such on the said post. On 15th of April, 1995, the appellant
was given provisional First Time Bound Promotion with effect
from 13th of June, 1984. After about 10 years, more precisely
on 19th of September, 2005, the First Time Bound Promotion
F granted to the appellant was cancelled. In view of such
cancellation of promotion, direction was issued by the State/
Respondent to recover Rs. 1,01,529.50 from the salary of the
appellant at the rate of Rs. 5000/- per month.
G 3. Aggrieved by the aforesaid order directing recovery, the
appellant filed a writ petition before the High Court of Judicature " •
at Patna contending that since the time bound promotion given
to him was at the fag end of his employment and that the
appellant, once having worked in the time bound promotional
H post, recovery against him was not justified. The writ petition,
PARAS NATH SINGH v. STATE OF BIHAR & ORS. 793
[TARUN CHATIERJEE, J.]
.
,
~
however, was dismissed by a learned Judge of the High Court A
and affirmed by a Division Bench of the High Court in a Letters
Patent Appeal.
4. Feeling aggrieved, the appellant has filed this special
leave petition, which on grant of leave, was heard in presence B
of the learned counsel for the parties.
A 5. Having heard the learned counsel for the parties and
considering the fact that the State Authorities had allowed the
appellant to work for about 10 years and paid the salary at the
enhanced rate, in which the appellant had no role to play except c
that he had given an undertaking to the Authorities that in the
event, his First Time Bound Promotion was cancelled, in that
case, he would be bound to refund· the same.
6. Having considered the fact that the appellant was only D
a Class IV employee in the State of Bihar and almost an
illiterate person and did not know the implications of giving such
undertaking and in the absence of any fraud and
misrepresentation attributed to the appellant and the amount
being not so excessive, in particular Rs. 1,01,529.50, out of E
which certain amount has already been recovered from the
salary of the appellant by the State Authorities, we are of the
view that a lenient view should be taken and the amount already
paid by the State Authorities to the appellant shall not be
recovered.
F
7. However, whatever amount that has already been
recovered, shall not be paid back to the appellant.
8. In view of the above, the impugned Judgments of the
- "'
High Court are set aside and the writ petition filed by the G
appellant stands allowed. For the reasons aforesaid, the appeal
is allowed to the extent indicated above. There will be no order
as to costs.
R.P. Appeal partly allowed.
H-
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